Discounted Cash Flow (DCF) Analysis Levered
The Procter & Gamble Company (PG)
$145.13
+2.20 (+1.54%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
Revenue | 66,832 | 67,684 | 70,950 | 76,118 | 80,187 | 83,941.73 | 87,872.27 | 91,986.85 | 96,294.10 | 100,803.04 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 14,867 | 15,242 | 17,403 | 18,371 | 16,723 | 19,186.25 | 20,084.63 | 21,025.09 | 22,009.58 | 23,040.17 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -3,717 | -3,347 | -3,073 | -2,787 | -3,156 | -3,766.50 | -3,942.86 | -4,127.48 | -4,320.75 | -4,523.07 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 11,150 | 11,895 | 14,330 | 15,584 | 13,567 | 15,419.75 | 16,141.77 | 16,897.61 | 17,688.83 | 18,517.10 |
Weighted Average Cost Of Capital
Share price | $ 145.13 |
---|---|
Beta | 0.385 |
Diluted Shares Outstanding | 2,539.10 |
Cost of Debt | |
Tax Rate | 18.08 |
After-tax Cost of Debt | 1.11% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 5.299 |
Total Debt | 32,293 |
Total Equity | 368,499.58 |
Total Capital | 400,792.58 |
Debt Weighting | 8.06 |
Equity Weighting | 91.94 |
Wacc |
Build Up Free Cash Flow
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
Revenue | 66,832 | 67,684 | 70,950 | 76,118 | 80,187 | 83,941.73 | 87,872.27 | 91,986.85 | 96,294.10 | 100,803.04 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 14,867 | 15,242 | 17,403 | 18,371 | 16,723 | 19,186.25 | 20,084.63 | 21,025.09 | 22,009.58 | 23,040.17 |
Capital Expenditure | -3,717 | -3,347 | -3,073 | -2,787 | -3,156 | -3,766.50 | -3,942.86 | -4,127.48 | -4,320.75 | -4,523.07 |
Free Cash Flow | 11,150 | 11,895 | 14,330 | 15,584 | 13,567 | 15,419.75 | 16,141.77 | 16,897.61 | 17,688.83 | 18,517.10 |
WACC | ||||||||||
PV LFCF | 14,691.07 | 14,652.23 | 14,613.48 | 14,574.84 | 14,536.30 | |||||
SUM PV LFCF | 73,067.92 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 4.96 |
Free cash flow (t + 1) | 18,887.45 |
Terminal Value | 638,089.36 |
Present Value of Terminal Value | 500,913.11 |
Intrinsic Value
Enterprise Value | 573,981.03 |
---|---|
Net Debt | 25,079 |
Equity Value | 548,902.03 |
Shares Outstanding | 2,539.10 |
Equity Value Per Share | 216.18 |